I'm wondering why they are doing this in such snmall dribs and drabs. Anybody ?

01-06-2009, 11:22 AM

Sworntwofun

Why only 6 million of debt exchanged ?

Whats is the Difference on the amount of Debt exchange..Its still shaping up and indicating interest in the company...They are almost half way there..This has go to be a good thing.....

01-06-2009, 11:37 AM

SteveSirius

I have no information, but only thoughts:

The existing lender seems to be buying these shares, so perhaps it is they who are deciding how much they want to buy. Perhaps Sirius XM is trying to lessen the effect of share dilution by floating shares in relatively small amounts.

I find it is interesting that the last couple of these relatively small stock issuances have each been at a price above the current trading price. Perhaps there is some legal reason for this.

I also find it interesting that the current lender would be interested in obtaining stock instead of cash that is owed to them. Perhaps these are agreed upon actions as part of a deal for future financing?

01-06-2009, 12:42 PM

sxminvestor

Quote:

Originally Posted by Sworntwofun

Whats is the Difference on the amount of Debt exchange..Its still shaping up and indicating interest in the company...They are almost half way there..This has go to be a good thing.....

Just that Feb coming soon and they would have to sell about 30 blocks of 6M to get rid of balance. I'd like to see this under 100M, so that an option would be cash on hand to take out balance.

Then worry about refi of the May.

01-06-2009, 01:17 PM

Demian

Quote:

Originally Posted by sxminvestor

Just that Feb coming soon and they would have to sell about 30 blocks of 6M to get rid of balance. I'd like to see this under 100M, so that an option would be cash on hand to take out balance.

Then worry about refi of the May.

It doesn't have to be under 100M for them to pay off the Feb. debt with cash...

01-06-2009, 11:52 PM

homer985

Quote:

Originally Posted by sxminvestor

Then worry about refi of the May.

Keep in mind that the May expirations don't have to be "refinanced"...

01-08-2009, 02:52 AM

sxminvestor

Quote:

Originally Posted by homer985

Keep in mind that the May expirations don't have to be "refinanced"...

What do you ,ean by this, they do have to be extended or replaced, no ?

01-08-2009, 03:35 AM

Newman

I don't think most people see an extension as refinancing.

01-08-2009, 06:08 PM

homer985

Yes, in my mind "refinance" means replaced by new debt or equity... "extending" the expiration is not a refinance -- but more of a continued financing.

01-17-2009, 03:34 PM

sxminvestor

On Jan 14th, they exchanged 100M shares for 13M, but now what ?

Stock has since dropped to .11 cents.

I guess they have to pony up about 150M from cash reserves unless they reneg with MLB to get access to the 120M.

Are they going to exchange 1 billion shares at .10 next to knock Feb down to 75 million, then use cash ?